Withholding tax: an additional billion euros in state coffers

Withholding tax: an additional billion euros in state coffers

The Fisc will recover an additional billion euros, because the recovery rate with the direct debit system limits fraud and oversights.

Withholding tax: an additional billion euros in state coffers

Good news for the State, thanks to the withholding tax, it would be a billion euros more than expected in the coffers at the end of the year according to “Les Échos”. Directly levy the payroll tax, an effective method, because the tax authorities no longer need to revive fraudsters or those who forget. Until now, before the stimulus months, the tax collection rate was 95%. Now with the withholding tax, it is immediately 98.5%, better than expected by the executive.

Skeptical unions

The unions call for caution. For them, it is still too early to take stock. Taxpayers whose income falls by more than 10% may in particular request adjustments to their rates. “They may or may not be able to dispute the amount of tax due and therefore there will be adjustments in this year-end period. The final result is to be brought when we have the full real income.“, Explains Anne Guyot-Welke, spokesperson for solidarity in public finances.